DLF shares have the potential to cross ₹1,000, say at least eight analysts with coverage

Shares of real estate developer DLF Ltd. will be in focus on Tuesday, May 20, following the company’s March quarter earnings. The stock had gained 17% in the last seven trading sessions.

DLF’s net profit rose by 36% from last year to ₹1,282 crore. Revenue also jumped by 46.5% to ₹3,127.6 crore. EBITDA for the quarter surged by 29.7% from the year-ago period to ₹978 crore, while margins narrowed by 400 basis points from last year to 31.3%.

Global brokerage firm Jefferies has a ‘Buy’ rating on DLF, with a price target of ₹1,000 per share.
According to the brokerage, DLF’s fourth quarter was strong, led by sustained momentum in the luxury Dahlias project, which drove over ₹2,000 crore in pre-sales.

Project deliveries in the NCR were slightly ahead of expectations, contributing to a profit and loss beat. Net profit stood at ₹1,280 crore, the highest in over 15 years.

Jefferies pointed to robust operating cash flow generation, leading to a jump in cash balances, which remains a key positive.

The office segment also showed steady improvement, with occupancy reaching 94%.

Morgan Stanley has maintained an ‘Overweight’ rating, and a price target of ₹910 on the counter.

The brokerage said that DLF reported Q4 pre-sales of ₹2,000 crore, beating Morgan Stanley estimates. This took FY25 pre-sales to ₹21,200 crore, up 44% year-on-year and the highest among peers.

Even assuming flat pre-sales in FY26 and a 30% net margin, the implied P/E multiple would be 18.5x, which the brokerage views as attractive relative to peers.

Collections for FY25 stood at ₹11,800 crore, a 36% YoY increase, while operating cash flow rose 52% YoY to ₹6,800 crore.

DLF’s net cash position improved to ₹6,800 crore, up from ₹4,500 crore in Q3.

Rental income grew 3% quarter-on-quarter and 9% year-on-year, driven by the completion of 2.7 million sq ft of leasing space. An additional 6.2 million sq ft is expected to be completed in FY26.

The company declared a dividend of ₹6 per share, in line with Morgan Stanley’s estimate, reflecting a 20% YoY increase. This implies a payout ratio of 34%, compared to 45% in FY24 and against a guided payout of 50%.

Nomura, meanwhile, has a ‘Neutral’ rating on DLF, with a price target of ₹700 per share.

The foreign brokerage mentioned that DLF’s medium-term launch guidance remains unchanged at ₹73,900 crore, while FY26 forecasted launches are maintained in the range of ₹17,000–18,000 crore.

Shares of DLF Ltd. settled with gains of 3.11% on Monday, at ₹738.15. The stock has fallen 11% so far in 2025.